सर्विस टैक्स का ईपेमेंटAround 19 digital payment companies and telecom operators have applied for a payment bank license, as per the RBI's list of payment bank applicants. RBI had earlier said that it had received around 41 payment bank applications until the submission deadline earlier this week. These applications will now be evaluated by two External Advisory Committees (EACs) headed by former RBI deputy governor Usha Thorat and RBI board director Nachiket Mor, who will then make their recommendations to the Reserve Bank.

Payment banks licenses will enable companies to provide small savings accounts and and payments / remittance services to migrant labour workforce, low income households, small businesses, other unorganised sector entities and other users.

What's particularly interesting is One97 and Paytm founder Vijay Shekhar Sharma has applied as an individual rather than One97 or Paytm. Note that One97 Communications had secured the prepaid wallet license from RBI in August last year and Alibaba's payment service provider Alipay had also picked up 25% stake in One97 Communications earlier in the day and it was expected to be integrated to Paytm’s mobile wallet solution.

Sun Pharmaceuticals founder and managing director Dilip Shantilal Shanghvi has also applied as an individual. Note that Telenor had earlier setup Telewings Communications (Uninor) by partnering Lakshdeep Investments & Finance Pvt. Ltd, a company controlled by Sun Pharma's Sudhir Valia. Yesterday, Telenor had said that it had applied for a payment bank license along with a "primary India-based strategic investor" and IDFC.

Future Group founder & CEO Kishore Biyani and Muthoot Group chairman George Muthoot have applied for payment banks in individual capacities.

Also interesting is Videocon d2h's entry into the payment bank fray, considering that it really doesn't have any foothold in the payment segment. The direct-to-home service provider had applied for a Rs 700 crore IPO in October last year and had also sold 33.5% stake to Silver Eagle Acquisition Corp for $33 million last month.

Telecom operators

- Reliance Industries Limited: Has formed a joint venture with State Bank of India (SBI), which will own up to 30% stake in the payment bank. RIL had secured a prepaid wallet license in September last year. RIL says it will use SBI’s nationwide distribution network and risk management capabilities in its retail and telecom business.

- Idea Cellular's promoter and largest shareholder Aditya Birla Nuvo Limited (ABNL): ABNL will own 51% stake in the payment bank and will be registered as Idea Payment Bank Limited. Idea Cellular currently operates a mobile money service 'Idea Money' through its subsidiary Idea Mobile Commerce Services Limited for which had received a 5-year wallet license in December last year.

- Vodafone m-pesa Limited: The company said it is currently exploring various options for partnerships. Note that RBI had also renewed Vodafone's mobile wallet license for three years, in November last year. On the company's earnings concall earlier in the day, Vodafone CFO Nick Read said that payment bank license allows them to offer cash withdrawals to consumers, which will create a network effect.

Mobile wallets/prepaid card services

- Department of Posts: Note that the Postal department had previously applied for a full-fledged universal banking license in 2013 but hadn't received it.

- Tech Mahindra (Tech Mahindra Limited): It currently operates a mobile wallet called MoboMoney which owns a prepaid wallet license until September 2018. MoboMoney was developed by Tech Mahindra's VAS unit CanvasM.

- Mobile payments company Citrus Pay (Citrus Payment Solutions Private Limited). It currently has a prepaid wallet license until October 2018.

- Payment solutions provider Oxigen (Oxigen Services (India) Private Limited). Owns a prepaid wallet license until December 2018 and also has tie-ups with banks like State Bank of India, ICICI Bank and Ratnakar Bank to offer banking services. It also has a tie-up with National Payments Corporation of India (NPCI) to offer eKYC and money transfer services.